4 Indian firms get AIDS drug licence from Gilead

US-based Gilead Sciences has licensed its anti-AIDS drug Tenofovir to four Indian drug makers - Alchem, J V Chemicals, Shasun Chemicals and Aurobindo Pharma - and is looking for another three, in a bid to enter the Indian pharma market in a big way. It has already issued non-exclusive manufacturing and marketing licences to Emcure, Hetero Drugs and Strides Arcolab.

The $3 billion company, Gilead, listed on the Nasdaq is testing waters with this set of alliances, with more products to follow from its international product basket if this arrangement were to be successful. These drugs will be in the anti-retiroviral (ARV) and Hepatitis B segments from its present product basket.

As per the current arrangement, the Indian companies can manufacture and sell the drug in 98 countries, including India and those in Africa, the Caribbeans and Latin America with roughly a patient population of 30 million. Gilead will get 5 per cent royalty share on sales.

According to industry estimates, roughly $4 billion worth of aid per annum is set to come to HIV-AIDS-afflicted countries in Asia and Africa till 2010. Companies such as Gilead and the ones it has licensed Tenofovir to, stand to get a share in this huge pie.

"We will be providing the technology to these companies while they will be manufacturing the active pharmaceutical ingredients and formulations.